Brazil's Environmental Licensing Shake-Up: A Setback for Lula?

In a controversial move, Brazil's Congress approved legislation on Thursday that relaxes environmental licensing requirements. This development poses a challenge for President Luiz Inacio Lula da Silva, aiming to bolster Brazil's environmental reputation before the upcoming COP30 climate summit.

The bill was passed by the lower house early Thursday, following its Senate approval in May. It permits projects with small to mid-sized impacts, such as dams and basic sanitation infrastructure, to proceed without environmental permits.

However, President Lula retains the power to veto parts or the entirety of the bill, with a potential override by Congress. The decision marks a significant moment in Brazil's environmental policy trajectory.

(With inputs from agencies.)